Good advice : what you need to know about the Bankruptcy Act of 2005

California CPA, June, 2005 by Jay Crom

* Limits relief for certain repeat bankruptcy filers;

* Increases the duration required to establish domicile from 180 days to 730 days, (sometimes used to gain the larger homestead exemptions available in certain states, including Florida and Texas) and further limits homestead exemptions if the debtor is guilty of certain crimes;

* Reduces the debtor's ability to defer eviction from residential property;

* Reduces the amount of luxury goods, electronic entertainment equipment, jewelry and other personal property that can be exempted;

* Expands non-dischargeable debts in Chapter 13 cases to include amounts incurred to pay certain taxes, and criminal or willful act restitution;

* Requires a debtor who served as administrator of an employee benefit plan to continue to perform the obligations incumbent upon such service; and

* Increases the priority wage claim limit from $4,850 to $10,000.

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BY JAY CROM, CPA

Jay Crom, CPA is managing partner at San Francisco-based Bachecki, Crom & Co. LLP. You can reach him at jcrom@bachcrom.com.